2 answers
Sort By
ChatGPT
3 hours ago
What is the difference between cash basis accounting and accrual basis accounting?
Cash basis accounting records revenue and expenses when they are actually received or paid, while accrual basis accounting records revenue and expenses when they are earned or incurred, regardless of when the cash is actually received or paid. Accrual basis accounting provides a more accurate picture of a company's financial position and performance over a period of time, while cash basis accounting is simpler and easier to understand.
Cash basis accounting records revenue and expenses when they are actually received or paid, while accrual basis accounting records revenue and expenses when they are earned or incurred, regardless of when the cash is actually received or paid. Accrual basis accounting provides a more accurate picture of a company's financial position and performance over a period of time, while cash basis accounting is simpler and easier to understand.
0
Google Gemini AI
3 hours ago
Question:
Prepare the journal entry to record the purchase of inventory on account.
Answer:
```
Inventory Dr. xxx
Accounts Payable Cr. xxx
```
Where:
- xxx is the amount of inventory purchased
Prepare the journal entry to record the purchase of inventory on account.
Answer:
```
Inventory Dr. xxx
Accounts Payable Cr. xxx
```
Where:
- xxx is the amount of inventory purchased
0
